posted 4th January 2026
The national picture: modest growth, but the mood has lifted
Early 2026 data points to a market that’s moving again, supported by improving affordability and a calmer lending environment.
House prices: Major indices are showing small annual growth at the start of the year. Nationwide reported 1.0% annual growth in January 2026 (average price £270,873), with a modest 0.3% month-on-month rise.
Asking prices & supply:Rightmove’s January 2026 report shows the average asking price for newly listed homes rose 2.8% to £368,031, but it also highlights a key dynamic: stock levels are the highest for this time of year since 2014, and around a third of homes already on the market have had price reductions — a sign that buyers have choice and are negotiating.
Interest rates & mortgages: The Bank of England base rate is reported at 3.75% (after cuts in late 2025), and mortgage rates are expected to remain competitive — though not necessarily falling in a straight line.
What this means in plain English: 2026 looks like a year of measured house price growth rather than dramatic surges. Many forecasts cluster around low single digits (often ~2–4% nationally), assuming rates don’t jump.
Cheshire: resilient pricing, strong demand pockets, and rental pressure
Cheshire continues to behave like a “hybrid” market: it benefits from North West affordability (relative to the South) while attracting buyers seeking space, schools, lifestyle towns and commuter access.
Cheshire East The average house price in Cheshire East was £306,000 in November 2025 (provisional), up 6.7% year-on-year — stronger than the North West average increase over the same period.
Rents are also rising: Cheshire East’s average private rent reached £951 in December 2025, up 6.4% annually.
Cheshire West & Chester The average house price in Cheshire West and Chester was £265,000 in November 2025 (provisional), up 3.1% year-on-year.
The takeaway for 2026: Cheshire isn’t a single market — it’s a patchwork. You’re likely to see continued strength where there’s commuter pull (toward Manchester/Liverpool corridors), high-quality family stock, and “turnkey” homes. But with higher supply in some segments, homes that are overpriced or need significant work can sit longer and invite negotiation.
What’s driving buyers in 2026
“Affordability is improving… slowly”
Nationwide points to affordability easing as earnings growth has outpaced house price growth and mortgage rates have softened from recent highs. That’s typically supportive of first-time buyer activity and the mid-market.
Buyers have more choice (and they know it)
Rightmove’s data suggests higher available stock nationally and widespread price reductions among existing listings. In practice, this tends to create a “best-in-class wins” environment: well-priced, well-presented homes sell; the rest are negotiated down or linger.
Lending innovation is creeping back in
Lenders are reintroducing higher loan-to-value products aimed at first-time buyers (e.g., Santander’s 98% mortgage offering), which can bring some demand forward — particularly for houses within commuting belts.
What it means for land, plots and development opportunities in Cheshire
For a plot finder audience, 2026 is quietly interesting. When the resale market becomes more price-sensitive, some buyers pivot toward self-build, custom build, renovations, and “doer-uppers” — especially if they can create value rather than compete for perfect homes.
Here’s what we’re seeing in markets like Cheshire:
Smaller, buildable plots can attract strong interest if they’re realistically priced and have a clear route through planning.
Knockdown/rebuild opportunities appeal where existing housing stock is dated but the location is premium.
One-off development sites (e.g., side plots, garden plots, barns/conversions where viable) can perform well if services/access are straightforward and build costs are properly scoped.
At the same time, higher build costs and planning complexity mean buyers are more cautious — so listings that clearly spell out constraints (access, utilities, boundaries, title, planning history) stand out.
Practical 2026 advice for buyers, sellers, and plot hunters
If you’re buying in 2026:
Negotiate with evidence: With supply higher and price reductions common, ask agents for recent sold comparables and be ready to offer based on today’s affordability.
Get mortgage-ready early: Even small rate moves affect borrowing power; a decision in principle and a good broker can keep you competitive.
Be strategic about “value-add”: In Cheshire, layout potential, EPC improvements, and extensions can meaningfully change long-term value.
If you’re selling:
Price for the market you’re in, not the market you remember. With buyers having more choice, getting the “first price” right matters.
Presentation and paperwork win deals: Surveys and conveyancing delays remain a friction point — being organised (title docs, planning permissions, guarantees) can speed up a sale and reduce renegotiation.
If you’re looking for land/plots:
Prioritise clarity: access, services, boundaries, covenants, and planning history.
Run a build-cost reality check: more buyers are interested in plots, but fewer will gamble without a clear feasibility picture.
Watch rental pressure: rising rents in places like Cheshire East can keep investor interest alive, but yields must stack up against finance costs.
The bottom line for 2026
The 2026 housing market is best described as steady, price-sensitive, and opportunity-rich for well-prepared movers. In Cheshire, fundamentals remain strong — lifestyle demand, connectivity, and a broad mix of locations — but the market is less forgiving of overpricing.
For Cheshire Plot Finder, that’s good news: when buyers become more selective, plots and “value creation” opportunities become more attractive — especially where the route to delivery is clear and the numbers work.
